Chapter 5.70VIDEO PEG FEES

(a) Any state franchisee operating within the boundaries of the franchise held by United Cable Television of Santa Cruz, Inc. (UCTCSC), and UACC Midwest, Inc., within the city as said boundaries existed on January 1, 2013, shall calculate and remit to the city a public, educational and governmental (PEG) fee equal to 2.14 percent of the gross revenue of the state franchisee collected within the city.

(b) Gross revenue for the purposes of subsection (a) shall be as defined in California Public Utilities Code Section 5860.

(c) A state franchisee initiating service within the city after the effective date of this chapter shall calculate and remit to the city a public, educational and governmental (PEG) fee equal to 2.14 percent of the gross revenue of the state franchisee collected within the city.

(a) A state franchisee shall comply with all applicable state and federal customer service and protection standards pertaining to the provision of video service.

(b) The city manager, or his/her designee, shall monitor the compliance of state franchisee(s) with respect to state and federal customer service and protection standards. The city manager, or his/her designee, shall provide the state franchisee(s) written notice of any material breaches of applicable customer service standards, and shall allow the state franchisee(s) thirty days from the receipt of the notice to remedy the specified material breach. Material breaches not remedied within the thirty-day time period shall be subject to the following penalties imposed by the city manager, or his/her designee:

(i) For the first occurrence of a violation, a fine of five hundred dollars shall be imposed for each day the violation remains in effect, not to exceed one thousand five hundred dollars for each violation.

(ii) For a second violation of the same nature within twelve months, a fine of one thousand dollars shall be imposed for each day the violation remains in effect, not to exceed three thousand dollars for each violation.

(c) A state franchisee may appeal an assessed penalty to the city council within sixty days of the date of the penalty’s assessment as stated on the written notice of penalty. After relevant speakers are heard and any necessary staff reports are submitted, the city council will vote to uphold, modify, or vacate the penalty.